Gold recovered on Friday after Thursday’s nearly 2% selloff, with spot prices rising 0.8% to about $4,351.28 an ounce in morning trading. Futures fell 0.4% to $4,391.37, while silver gained 0.8% to $64.10 and platinum advanced 1.1% to $1,801.18. Gold was still headed for a weekly decline of more than 2% and a third consecutive weekly loss as higher crude prices, Treasury yields and expectations for a Federal Reserve interest-rate increase pressured sentiment. August producer prices rose 0.4% month over month, the strongest increase since May and a result that reinforced concerns about energy-driven inflation. CME FedWatch indicators put the probability of a rate increase at roughly 70%, with market attention turning to the August consumer inflation report, where economists expect headline prices to rise 0.4% monthly and 3.4% annually, while core inflation is forecast to increase 0.2% from July. Geopolitical tensions involving Washington, Tehran, Jordan, Yemen and Saudi Arabia have pushed international benchmark crude toward $108 a barrel, adding to inflation risks and supporting expectations for a hawkish Federal Reserve stance. Investor demand for gold remained strong in August: physically backed gold ETFs attracted $18 billion in net purchases, the second-highest monthly total on record. Their holdings rose by 121 tonnes to a record 4,189 tonnes, while assets under management increased 16% to $615 billion. Gold gained 13% in August, its third-strongest monthly performance in 25 years. Market observers said the metal needs to regain its 200-day moving average near $4,537 to confirm that the correction has ended; without that recovery, some strategists see possible downside toward $4,200. Copper also reversed after three-month London Metal Exchange contracts reached a record above $14,800 per metric ton. The contracts were last up 0.3% at $14,233, while Sucden Financial strategists said speculation about a possible reversal of U.S. trade tariffs had triggered a rapid unwinding of speculative positions, although tight supply should limit further declines.